Income protection insurance

mud8982

Hi,
I've registered a new account for a bit of ID protection, apologies.

Has anyone any experience with income protection insurance? I'd imagine they're full of loopholes for the underwriters to get out of paying.

Essentially my job is at risk because of a dispute with the employer. If I pursue the dispute it may end the employment. The employer may make certain claims about me with a view to termination even if I do not pursue.

At its simplest, the employer may simply arrange the business so that may job role becomes redundant and I'm let go.

My guess is that if I raise a dispute, this is classified as me causing the termination therefore these insurance policies will not pay out.

If the employer pursues dismissal and claims it is based the dispute then I'd guess that insurers will use that to refuse to pay out.

So that leaves redundancy, which I believe some policies pay out under. Currently I only have life and critical illness for the mortgage.

So, questions. 1) are my guesses correct? 2) anyone have experience with the best insurers for redundancy and if they are worth bothering with. 3) Do I have to disclose the dispute in taking out the insurance? If I do then I imagine I'll just get turned down anyway.

Any other suggestions other than apply for other jobs?!

kazzah

I can only answer from a personal viewpoint - my hubby was let go during his promotion period for not reaching targets and out mortgage income provider paid up - and likewise once when he was dismissed by a company for capability issues ( which was nonsense - he refused to participate in defrauding a funder) they paid up then too - our provider has always been great- even to the point of allowing a claim to halt if he got a new job and recommence with the remaining payment period if the new job didn't work out - read your terms and conditions - ours have been great

mud8982

Thanks for the information, it sounds better than most insurance stories - any chance you could share who the provider is?

ACG

IF the insurance company refused to pay out in this situation, I could completely understand. There is a hightened risk that you could be made redundant. You are supposed to take out insurance before there is a risk, not when you find out there is a good chance of it happening.

I would be relcutant to take out the insurance now as you may lose your premiums or at the very least discuss the situation with them before applying.

inglorius

kazzah wrote: »

I can only answer from a personal viewpoint - my hubby was let go during his promotion period for not reaching targets and out mortgage income provider paid up - and likewise once when he was dismissed by a company for capability issues ( which was nonsense - he refused to participate in defrauding a funder) they paid up then too - our provider has always been great- even to the point of allowing a claim to halt if he got a new job and recommence with the remaining payment period if the new job didn't work out - read your terms and conditions - ours have been great

I'm amazed that you've found an insurer that will pay out for cases in which the party was dismissed, all PPI companies I have encountered will only pay out for instances of redundancy and that's if the person can prove that they had no inkling when they took out the policy. As a matter of interest what was the company you used?

kazzah

very happy to say it is Cardif Pinnacle
we have been with them for around 9 years
they have also paid out when hubby has had a fixed term contract
http://www.cardifpinnacle.com/openwork/docs/OBP_KF2932v2.pdf